Political Economy of EC Market Integration :'the German Case of Capital -Labor Relationship

The unification of the European market planned to be in effect since 1993 seems to provide a turning point for the Europe to recover the status of the leading actor in the world economy. Based upon this prospect, the optimistic view anticipating rehabilitation of the European economy has prevailed. In the sphere of the political integration, the notion of the national state, which has been established since the French Revolution, has also been substituted by the new concept of the European continental state. The majority of the sceptics, who cannot but help face reality now, try to recover hegemony from the proponents of new conservatism. They begin to suggest that the vision of rapid economic growth and industrial peace would be realized if the social partnership between labor and capital could be established. After the reunification of the Germany and the dissolution of the socialist regimes in the Russia and east european countries, we experienced the innumerable chaos and frustrations. And there has appeared the new problems of the poverty and underdevelopment in the enlarged European pheriphery. This is the background of the unforeseen social cleavages and structural contradiction of nowadays. For the smooth integration of the European region in peace, we should find out the ways of coordination between the national state and the transnational state about the nature of the sovereignty, between political integration and economic integration, between core and pheriphery